Prime Highlights:
- Saudi Arabia’s economy grew 4.8% in Q3 2025, showing strong performance in both oil and non-oil sectors.
- Non-oil activities contributed the most to GDP growth, highlighting progress in the Kingdom’s economic diversification efforts.
Key Facts:
- Oil activities rose 8.3%, while non-oil activities grew 4.3% year-on-year; government services increased 1.4%.
- All major economic sectors recorded positive growth, with non-oil activities contributing 2.4 percentage points and oil activities 2 percentage points to overall GDP growth.
Background:
Saudi Arabia’s economy recorded a solid upswing in the third quarter of 2025, with gross domestic product rising 4.8 percent year on year, according to new data released by the General Authority for Statistics (GASTAT). Government services also posted a modest rise of 1.4 percent year on year.
The authority noted that non-oil activities provided the largest push to real GDP, contributing 2.4 percentage points to overall growth. Oil activities added 2 percentage points, while government services and net taxes contributed 0.2 percentage points each.
All major economic segments recorded annual growth in the third quarter. Petroleum refining topped the list with an 11.9 percent increase, followed by crude petroleum and natural gas activities at 7.3 percent. Electricity, gas and water services rose by 6.4 percent.
On a quarter-on-quarter basis, the Kingdom’s seasonally adjusted GDP grew 1.4 percent. Oil activities increased 3.3 percent from the previous quarter, while government services and non-oil activities advanced 1 percent and 0.6 percent, respectively.
Saudi Arabia’s trade performance also strengthened during the period. Exports were up 18.4 percent year on year and 7.5 percent compared to the second quarter. Imports grew 4.3 percent annually, though they edged down 1.2 percent from the previous quarter.
The Kingdom’s economic momentum has prompted international institutions to revise their forecasts upward. Earlier this month, the World Bank raised its 2025 growth outlook for Saudi Arabia to 3.8 percent, up from 3.2 percent. The International Monetary Fund also revised its projections in October, expecting the economy to expand 4 percent in both 2025 and 2026.
